Required information Use the following information to answer questions. (Static) [The following information applies to the questions displayed below.] The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 70% of direct labor cost. End of Period Beginning of Period $ 43,000 10, 200 Inventories Raw materials Work in process Finished goods $ 52,000 21,300 63,000 35,600 Cost incurred for the period Raw materials purchases i Factory payroll Factory overhead (actual) Indirect materials used Indirect labor used Other overhead costs: $ 210,000 345,000 15,000 80,000 120,000 Exercise 15-12 (Static) Computing materials, labor, overhead, and cost of goods manufactured LO P1, P2, P3, P4 1. In the Raw Materials Inventory T-account, insert amounts for beginning and ending balances along with purchases and indirect materials used. Solve for direct materials used in the period. 2. Compute the cost of direct labor used for the period. 3. In the Work in Process Inventory T-account, insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from part 2), and applied overhead. Solve for cost of goods manufactured in the period. 4. In the Finished Goods Inventory T-account, insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of goods sold in the period (do not consider any under- or overapplied overhead). 5. In the Factory Overhead T-account, insert amounts for indirect materials used, indirect labor used, other overhead costs, and applied overhead. Solve for underapplied or overapplied overhead. Required 1 3 4 and 5 Required 2 1. In the Raw Materials Inventory T-account, insert amounts for beginning and ending balances along with purchases and indirect materials used, Solve for direct material 3. In the Work in Process Inventory T-account, insert amounts for beginning and ending balances along with direct materials used (from part 1), direct labor used (from p goods manufactured in the period. 4. In the Finished Goods Inventory T-account, insert amounts for beginning and ending balances along with cost of goods manufactured (from part 3). Solve for cost of gr under- or overapplied overhead). 5. In the Factory Overhead T-account, insert amounts for indirect materials used, indirect labor used, other overhead costs, and applied overhead. Solve for underapplied Raw Materials Inventory Work in Process Inventory Beginning Beginning Beginning Beginning Ending Ending Ending Ending Finished Goods Inventory Factory Overhead Beginning Beginning Beginning Beginning 15,000 80,000 Ending Ending 120,000 4 ht ences Required 1 3 4 and 5. Required 2 Compute the cost of direct labor used for the period. The cost of direct labor for the period Cost of direct labor used
